Oyo sheds budget tag, forays into leisure segment

Mumbai: Hotels chain Oyo has forayed into the leisure category with its new brand Palette Resorts. The hotel chain is currently partnering with select resorts that offer amenities, including rooms, private villas and beaches, gourmet dining, spa and other recreational provisions.

“With Palette by Oyo, we are expanding our playfield to upscale resorts, while remaining committed to our core value proposition — location, quality, and price. These are hand-picked, premium accommodations,” Chief of Strategy Maninder Gulati said.

The Gurugram-based company is starting with a property in Pondicherry, Palette Resorts - Le Pondy. Gulati said Oyo will look to expand the footprints of Palette Resorts to other tourist destinations in India and other international markets based on the learnings on ground and feedback from asset owners and guests.

India currently has over 4,000 unbranded independent resorts and branded assets across heritage, beach properties, and inland, with over 65% of these concentrated in primary leisure travel locations such as Kerala, Goa, Karnataka, Rajasthan and Uttarakhand. Palette Resorts by Oyo will be operated under models of manchise (contract management and franchise) and lease with full inventory control such as the economy and mid-market segments.